CNMV Flags 14 Unregistered Entities as Spain Tightens Financial Oversight

<p>Spain's
National Securities Market Commission (<a href="https://www.financemagnates.com/tag/cnmv/" target="_blank" rel="follow">CNMV</a>) has issued new warnings
regarding 14 financial companies that are promoting investment services without
proper registration. These unregistered firms lack authorization from the CNMV to operate in Spain legally.</p><p>CNMV Warns Investors of 14 Unregistered Financial Firms</p><p>The CNMV
stated that companies <a href="https://www.cnmv.es/webservices/verdocumento/ver?t=%7Bb83afcf2-82b8-4e20-81e6-520571cd418e%7D">mentioned
in the newest warning</a> are not registered in Spain to provide financial
services or investment activities. Under local regulations, firms must register
with the market watchdog before legally operating in the country.</p><p>The
following companies were named in the CNMV warning:</p><ul><li>premiumtrade247.com
(PremiumTrade247 LTD)</li><li>byalpha.org
(Compic Solutions LTD)</li><li>akselinvest.pro
(AKSEL INVEST PRO)</li><li>evallvellc.com
(EvallVellc)</li><li>xtreamforex.com
(Xtream Markets)</li><li>nordequity.com
(Sinvara LLC)</li><li>bdm-investments.uk
(BDM INVESTMENTS)</li><li>profinancetrade.com
(Profinancetrade LTD)</li><li>imperialtrade.net
IMPERIALTRADE)</li><li>ontradepro.com
(ONE TRADE PRO)</li><li>uptowns-finance.com
(UP-townfinance LTD)</li><li>crownenergyinvestment.com
(CROWN ENERGY)</li><li>successfulmarktplatform.com
(SURE FX NATION)</li><li>omersfinance.ltd
(OMERS FINANCE)</li></ul><p>CNMV
warnings assist investors by identifying unlicensed companies that may be
fraudulent. Spanish residents are advised to verify a firm's registration
status before engaging its services. Investors can contact the CNMV investor
service by phone or email to confirm if an institution is properly registered.</p><blockquote><p lang="en" dir="ltr">Warnings from <a href="https://twitter.com/hashtag/CNMV?src=hash&amp;ref_src=twsrc%5Etfw">#CNMV</a> on unregistered institutions: <a href="https://t.co/N2CeMSpH3M">https://t.co/N2CeMSpH3M</a></p>— CNMV (@CNMV_MEDIOS) <a href="https://twitter.com/CNMV_MEDIOS/status/1751931118050250838?ref_src=twsrc%5Etfw">January 29, 2024</a></blockquote><p>The Spanish
regulator is one of the most active in the European market in terms of
informing about illegally operating entities. Some time ago, it warned, among
others, about a <a href="https://www.financemagnates.com/terms/c/clone/">clone</a> of the popular <a href="https://www.financemagnates.com/forex/etoro-clone-among-eight-entities-flagged-by-cnmv/" target="_blank" rel="follow">investment firm eToro</a>. A few days earlier,
<a href="https://www.financemagnates.com/forex/cnmv-flags-unregistered-investment-entities-warns-investors/" target="_blank" rel="follow">it drew attention</a> to the unlicensed activity of companies in the FX/CFD sector.</p><p>Spain Expands CFDs
Restrictions</p><p>CNMV
<a href="https://www.financemagnates.com/forex/spains-expanded-restrictions-on-cfds-set-for-july-20-gets-esma-backing/" target="_blank" rel="follow">recently implemented additional restrictions</a> on the marketing, distribution and
sales of contracts for difference (CFDs) instruments. The new rules, which came
into effect on 20 July 2023, ban CFD <a href="https://www.financemagnates.com/terms/m/marketing/">marketing</a> communications and practices
aimed at retail clients or the general public. This includes use of sales
agents, call centers, event sponsorships, public figures, etc. to promote CFDs.</p><p>The CNMV
said these extra measures are justified and proportionate. The rules expand on
previous CFD restrictions introduced in Spain in 2019 and at the EU level by
the European Securities and Markets Authority in 2018.</p><p>When
announced, the expanded Spanish restrictions caused the share price of Polish
online broker XTB to drop sharply on the Warsaw Stock Exchange. However, XTB
later stated that the new rules <a href="https://www.financemagnates.com/forex/xtb-takes-spains-tougher-cfd-marketing-rules-in-stride/" target="_blank" rel="follow">have had a "minor" impact</a> on its
operations and it has not seen significant changes in customer acquisition
rates.</p>

This article was written by Damian Chmiel at www.financemagnates.com.